CENTRE AT LA QUINTA HIGHWAY 111

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1 A COMMUNITY SHOPPING CENTER IN, CALIFORNIA CENTRE AT HIGHWAY 111 Holliday GP Corp. ( HFF ), California Bureau of Real Estate License #

2 2 EXECUTIVE SUMMARY INVESTMENT OVERVIEW HFF has been exclusively retained by Ownership to offer qualified investors the exciting opportunity to acquire Centre at La Quinta (the Property ), a 79,795 square foot Marshalls/Petsmart community center shadow-anchored by a Walmart Supercenter. Located in the highly affluent community of La Quinta, the property benefits from over 40,000 CPD passing the intersection of Highway 111 and Dune Palms Rd. Centre at La Quinta is currently 94% leased with a strong national tenant roster including Marshalls, PetSmart, GameStop, Sprint, UPS, and Sherwin-Williams, amongst others. Strategically located in the heart of La Quinta, with over 160,000 residents in a 5-mile radius and average household incomes exceeding $93,000. PROPERTY SUMMARY PRICE: ADDRESS: GLA: Best Offer 79305, 79395, and Highway 111 La Quinta, CA ,795 SF IN-PLACE NOI: $1,270,260 OCCUPANCY: 94.31% YEAR BUILT: 2004 SITE SIZE: PARKING: Acres 674 Spaces (8.48/1,000 SF)

3 CENTRE AT OUTDOOR RESORTS INDIO MOTORCOACH COUNTRY CLUB JEFFERSON PLAZA INDIAN SPRINGS GOLF CLUB CENTRE AT JEFFERSON STREET (27,112 VPD) RANCHO GOLF CLUB 700-ACRE MASTER PLANNED COMMUNITY 980 SINGLE-FAMILY HOMES AND CASITAS RANGING FROM $400,000-$2 MILLION+ HIGH SCHOOL AVENUE 48 (18,364 VPD) DUNE PALMS ROAD (8,373 VPD) PAVILLION AT HIGHWAY 111 (31,348 VPD) FUTURE MULTIFAMILY DEVELOPMENT KEY TENANTS TENANT SF % NRA LEASE EXP. Marshalls 30, % May-24 ONE ELEVEN CENTER WASHINGTON PARK ADAMS STREET (12,035 VPD) PetSmart 19, % May-20 Sherwin-Williams 3, % Apr-27 Sprint 1, % Dec-18 GameStop 1, % Jan-20 EXECUTIVE SUMMARY 3

4 INVESTMENT HIGHLIGHTS ATTRACTIVE IN-PLACE FINANCING In-place existing debt allows investors the opportunity to assume attractive debt, eliminating interest rate risk: EXISTING FINANCING SUMMARY Amount (as of 4/6/2018): $10,911,025 STRATEGIC LOCATION ALONG HIGHWAY 111 Located along Highway 111 at the intersection of Dune Palms Road with over 40,000 cars passing the site daily. Interest Rate: 4.49% IO Period: None Amortization: 30 Years Origination: 10/4/2016 Maturity: 9/31/2026 Servicer: Wells Fargo STRONG DEMOGRAPHICS Over 160,000 residents are located within a 5-mile radius of the Property with average household incomes exceeding $93,000. Loan Type: CMBS WALMART SUPERCENTER SHADOW-ANCHOR Walmart Supercenter (with grocery) expands the draw of the property and provides a recession resistant, daily needs draw to the property. LONG-TERM LEASES PROVIDE SECURITY TO THE OFFERING Over 52% of the GLA is leased through 2024 or greater including Marshalls (2024), Sherwin-Williams (2027), Maxcy s Grill (2026) and Canton Bistro (2027). INTERNET RESISTANT TENANT MIX Strong mix of national, regional, and local tenants including Marshalls (opening 88 new locations nationally), PetSmart (opened 18 new stores in Q1 2017), GameStop, Sprint, UPS, Desert Digital Media (a Google Partner), Samurai Sam s Korean BBQ, Canton Bistro Asian Cuisine, and HairMasters hair salon, among others. 4 EXECUTIVE SUMMARY

5 CENTRE AT LOCAL MAP CENTRE AT DRIVE TIMES LOCATION MILES DRIVE TIME Palm Springs Int l Airport 15 0:30 San Diego 80 2:15 Orange County 90 1:45 Los Angeles 115 2:00 Las Vegas 180 4:15 Phoenix 240 3:43 EXECUTIVE SUMMARY 5

6 SITE PLAN LQ3-6 LQ3-5 LQ3-4 LQ3-3 LQ3-2 LQ3-1 LQ1-3 LQ1-2 LQ1-1 LQ1-5 LQ1-7 LQ1-8 LQ1-9 LQ1-10 LQ1-11 LQ1-12 LQ2-1 LQ2-2 FUTURE DEVELOPMENT OPPORTUNITY LEASED AVAILABLE 6 EXECUTIVE SUMMARY

7 CENTRE AT TENANT ROSTER INVESTMENT HIGHLIGHTS (CONTINUED) SUITE TENANT SF % NRA LEASE EXP. LQ1-01 Desert Digital % Mar-23 LQ1-02 Jewel Master % Oct-20 LQ1-03 GameStop 1, % Jan-20 LQ1-05 Canton Bistro/China Wok 3, % Jan-27 LQ1-07 Sprint 1, % Dec-18 VALUE CREATION THROUGH FURTHER DEVELOPMENT Opportunity to further increase value through the potential development of the 0.42-Acre anchor/shop space adjacent to PetSmart. LQ1-08 Fancy Nails 1, % Apr-23 LQ1-09 UPS Store 1, % Nov-21 LQ1-10 Samurai/Sam's Korean BBQ 1, % Oct-20 LQ1-11 AVAILABLE 1, % - LQ1-12 Sherwin-Williams 3, % Apr-27 LQ2-1 Marshalls 30, % May-24 LQ2-2 PetSmart 19, % May-20 LQ3-1 Maxcy's Grill 2, % Jun-26 LQ3-2 AVAILABLE 1, % - ATTRACTIVE IN-PLACE CASH FLOW WITH UPSIDE An internet resistant tenant mix and healthy occupancy of over 94%. The lease-up of the three vacant spaces and retenanting the Payless Shoes (60 day kickout) suite will grow the net operating income over 30% during the hold period based upon our market projections. LQ3-3 Payless ShoeSource 2, % Apr-20 LQ3-4 HairMasters % Apr-19 LQ3-5 AVAILABLE 1, % - LQ3-6 The Hideaway Cigar 1, % Jul-28 Total Occupied SF 75, % Total Vacant SF 4, % EASE OF MANAGEMENT Only 15 tenants at the Centre provides investors limited management duties. Total Overall SF 79, % EXECUTIVE SUMMARY 7

8 INVESTMENT ADVISORY GLEB LVOVICH CA Lic. # DANIEL TYNER CA Lic. # DEBT GUIDANCE GREG BROWN CA Lic. # CENTRE AT HIGHWAY 111 REAL ESTATE ANALYST MARK DEGIORGIO CA Lic. # Holliday Fenoglio Fowler, L.P., HFF Real Estate Limited (collectively, HFF ), HFF Securities L.P. and HFF Securities Limited (collectively, HFFS ) are owned by HFF, Inc. (NYSE: HF). HFF and its affiliates operate out of 26 offices and are a leading provider of commercial real estate and capital markets services to the global commercial real estate industry. HFF, together with its affiliates, offers clients a fully integrated capital markets platform including debt placement, investment advisory, equity placement, funds marketing, M&A and corporate advisory, loan sales and loan servicing. For more information please visit hfflp.com or follow HFF on hfflp.com